Entrepreneurial Marketing: Resource-Advantage (R-A) Theory, Perspective, and Practice in Small Firms
Entrepreneurial Marketing (EM) has been intensively discussed especially in regards to development, Interface and strategic orientation. Nevertheless, few studies focus on EM's grounded theory, especially as it relates to the perspective and practice within small firms. R-A theory is proposed as a more suitable grounded theory for EM. It views innovation and organizational learning as endogenous to competition, adopting a resource-based view of the firm, therefore firms are theorized to be historically situated combiners of heterogeneous, and imperfectly mobile resources. This orientation results in diversity in the size, scope, and levels of profitability of firms. As small firms, the level of newness and size inhibits capabilities to create competitive advantage. Strategic orientation, opportunities, control of resources mechanism, management structure and marketing methods in small firms must he entrepreneurial. Marketing strategies for small firms must be differentiated from corporate strategies. Culture strategy and tactics from an R-A Theory point of view will be complementary to the conceptual framework of EM. Beginning with the explanation of various EM concepts, this article focuses on R-A Theory perspective and practice in small firms. An entrepreneurial marketing model based on R-A Theory helps define the intersection between small firm’s life stages and entrepreneurial characteristics.